Mytilineos Prevails in International Investment Arbitration against Serbia

Moussas & Partners (Nikos Moussas) together with Three Crowns (Georgios Petrochilos), BDK Advokati (Tijana Kojović) and Tariq Baloch successfully represented Mytilineos Holdings in a landmark Bilateral Investment Treaty dispute under the UNCITRAL Arbitration Rules against the Republic of Serbia in relation to an investment in state-owned RTB BOR, one of the largest metallurgical and mining complexes for copper extraction and production on a global basis.

The Tribunal found that Mytilineos enjoyed the protection of the Greece -Serbia Bilateral Investment Treaty signed in 1997 as an investor in Serbia, through a series of cooperation agreements with Rtb Bor formalized in 1998,  whereby Mytilineos advanced working capital, spare parts and copper concentrates  which RtbBor  had to properly repay with processed copper.  As of 2004, RTB BOR started defaulting on its obligations while Serbia granted it immunity for that under a series of legislative and administrative measures the last of which was taken in 2012 and extended the protection from creditors until 2014; the pretext for the moratorium has been the privatization/restructuring of the state entity, which never occurred, while in the meantime RtB Bor continued working and performing with other partners.  The Tribunal eventually found that Serbia (a) indirectly expropriated without compensation Mytilineos’s investment (b) frustrated Mytilineos’s legitimate and reasonable expectations as an investor to be afforded fair and equitable treatment by the Serbian State and awarded the Greek conglomerate compensation in the area of 40 mio USD.

The international arbitral tribunal comprised of Messrs. Klaus Sachs, a German national, as Chairman, US national Doak Bishop and Serbian academic Mirko Vasiljević as arbitrators.

Serbia’s energy minister is said to have already announced that Serbia will comply with the award. See more info at:

Mytilineos Holdings’ press release of 29 August 2017 is available here.

The case has been headlined in the Global Arbitration Review (please find the full article here) and in Investment Arbitration Reporter [available here (requires subscription)]